Statement (A): Company used a variety of political, economic and diplomatic methods to extend its influence before annexing an Indian kingdom.

Statement (B): The Company appointed Residents in Indian states.

1
Both (A) and (B) are true and (B) is the correct explanation of (A)
2
Both (A) and (B) are true but (B) is no the correct explanation of (A)
3
(A) is true but (B) is false
4
(A) is false, but (B) is true

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